Economics boss explained |
That’s how long the price shock will last
She is Germany’s top economic expert!
Prof. Monika Schnitzer (61) is the head of economics, the government’s top advisor – and knows how things are with jobs, inflation and energy supply. In BILD she explains the situation:
► Expensive shock:
Schnitzer: “We will continue to see high inflation in 2023 because consumers are feeling the effects of high energy prices. In two years at the latest, prices will fall – but not to the level that we had in Ukraine before the war.”
► job anxiety:
“The labor market remains robust. This is due to the relief, which also benefits companies. Even if there are layoffs in individual companies, there is still a high demand for workers.”
► Energy deficiency:
“An extended running time of the nuclear power plants would lead to a reduction in the electricity price of up to 12 percent. There is a lot to be said for using everything that is available. If we use the nuclear power plants by the end of 2024, we will have enough liquid gas to replace the nuclear power plants by then,” says Prof. Schnitzer.
► citizen money Zoff:
“Work is worthwhile, also for those receiving citizen benefits. There will always be people who try to take advantage of a system. But there are also people who are not lazy.”
► Gas price brake:
It also relieves higher earners “who don’t need it at all,” says Schnitzer. “With a higher top tax rate or energy solos, you could take something away from those who don’t need the relief.”
► Pace of energy projects:
“During the construction of the new LNG terminal in Wilhelmshaven, we saw that the state is able to massively accelerate processes. I hope that laws such as the LNG Acceleration Act and the law in Baden-Württemberg set a precedent for the faster expansion of renewable energies,” said the professor of economics.
It is necessary for Germany to have simpler rules and shorter procedures in order to make faster progress in procuring climate-friendly energy.
“It is also worth considering putting climate protection ahead of species protection when expanding climate-friendly energy. And the federal states can also do something. I’m thinking of the distance rules for wind turbines – for example in Bavaria.”